It’s two months away, but what the Autumn Budget will hold for small businesses is already making headlines. Which is telling. Firms need room to breathe, the confidence to invest and the finance to ease pressure on cash flow. So, what will the Chancellor deliver?

First things first, according to reports, there isn’t a great deal of optimism in the small business sector about the November Budget, a sentiment clearly coloured by the hike in employer’s national insurance contribution and the reduction in business rates relief that were announced in the 2024 statement.

Research from Vistage shows that over 75% of business leaders have little to no confidence that the Budget will provide support for growth, with over a fifth expecting profitability to fall. Notably, the company’s CEO Confidence Index fell sharply in Q3 2025, to 88, compared to 107.1 for the same period in 2024.

However, the small business sector is not without hope, not least with the government launching its Small Business Plan, including measures on funding and late payment, during Q3. So, against this backdrop, what can firms expect from the 2025 August Budget?

Small business wishes for the Autumn Budget 2025

To start with a positive, the chances that the Chancellor will announce business rate reform look good, although whether it will go as far as firms want remains to be seen. The retail, hospitality and leisure sectors look best positioned to benefit.

Other measures on the small business wish list include investment in infrastructure, a reduction in red tape, energy cost relief, investment incentives (in particular in relation to digital development) and labour market support. Firms also want to see a pledge not to increase taxes further and a rollback on the national insurance contribution increase.

Will these wishes be granted? Some movement on key issues is probable, but the reversal of the national insurance contribution rise seems unlikely. Strong rumours of another increase in the national minimum wage suggest small businesses won’t get the generosity they crave.

How alternative finance can help with safeguarding cash flow

The sentiment coming out the small business sector is easy to understand – less uncertainty and more stability would go a long way right now. To stimulate an increase in investment, improving access to finance and easing the pressure on cash flow is critical and this is where alternative finance can help.

As small business lending from traditional sources remains subdued as Q4 begins, with firms still experiencing difficulty in accessing finance from high-street banks, services such as invoice finance, asset finance and peer-to-peer lending are proving a vital source of capital for small businesses in the current funding climate.

These alternative finance facilities, which offer a more easily accessible, affordable and personalised approach to lending, are helping small businesses survive and target recovery, stability and growth.

Notably, the Growth Guarantee Scheme is providing a wide range of finance facilities to smaller firms, including asset finance, invoice finance and asset-based lending. This is further proof that alternative lenders are increasing filling the small business funding gap.

Small firm finance options for facilitating key investment

There will be a lot more speculation about how the Autumn Budget 2025 will treat small firms, but for all the second guessing, it is clear is that easing pressure, increasing confidence and improving access to finance are key to the sector, however they are achieved.

With this in mind and with traditional lenders continuing to be cautious, it important that key small-business decision-makers are aware of all the finance options available to them, including the services of alternative lenders.

To find out more about A&T Business Associates services, contact Steve Bowles on 01903 602211 or steve.bowles@atbusinessassociates.co.uk.